““CEOs go to their vacation homes just after companies report favorable news, and CEOs return to headquarters right before subsequent news is released. More good news is released when CEOs are back at work, and CEOs appear not to leave headquarters at all if a firm has adverse news to disclose. When CEOs are away from the office, stock prices behave quietly with sharply lower volatility. Volatility increases immediately when CEOs return to work.” —David Yermack, a New York University finance professor, whose recently released study shows a correlation between when CEOs take their private jets on vacation and movements in their companies’ stock price ”
Dassault Inks Deal with Minsheng for 20 Falcons
Dassault Aviation has signed a memorandum of understanding with China's Minsheng Financial Leasing for 10 Falcon 7X and 10 Falcon 2000S business jets. The deal, which the companies expect to finalize before the end of the year, follows firm orders for five Falcon 7Xs that Minsheng placed earlier in 2011 and an order for a Falcon 900LX.
Some of these 7Xs have been delivered. Minsheng Financial entered into the aviation field about two years ago and has already signed for 90 business jets, not including those covered by the latest deal. Minsheng officials–who previously predicted they’d be leasing 100 business jets within five years–now expect to be leasing that many within two years.